Indian Hotels Company Ltd.'s (IHCL) Q1FY21 result was below our and consensus estimates on all parameters. Impact of COVID-19 on hospitality is strikingly visible as net sales sharply deteriorated for organized players, including IHCL. Net sales declined by 85.9% YoY to Rs1,436mn, while EBITDA came in at negative Rs2,660mn, down by 253.4% YoY. The company reported net loss of Rs3,126mn compared to net profit of Rs176mn in Q1FY20. The company's majority of inventory was closed for ~45 days in Q1FY21, while operational inventory was used for quarantine facilities and medical staff. Extension of lockdown and interstate travel ban dented leisure segment during...